K. Lillian is the leader of the Concerned group in Kyengera, Uganda. She is 40 years old and the mother of school-age children; she also cares for two orphans. Lillian is a tailor who makes high-fashion clothes in her shop and also operates a bridal shop where she sells all sorts of accessories pertaining to a bride. She is a very stylish lady and is well known in her area. Lillian also creates party wear and makes different designs depending on her customers’ taste. She plans to use her portion of the group loan to buy material for making her clothes as well as cosmetics and other accessories for her bridal shop.
This is a Group Loan
In a group loan, each member of the group receives an individual loan but is part of a larger group of individuals. The group is there to provide support to the members and to provide a system of peer pressure, but groups may or may not be formally bound by a group guarantee. In cases where there is a group guarantee, members of the group are responsible for paying back the loans of their fellow group members in the case of delinquency or default.
Kiva's Field Partners typically feature one borrower from a group. The loan description, sector, and other attributes for a group loan profile are determined by the featured borrower's loan. The other members of the group are not required to use their loans for the same purpose.